So why does the LTE Watch have the red dot anyways? I asked on Reddit and no one has any idea : https://reddit.com/r/apple/comments/70homi/so_why_does_the_a... The most sensible theory is that it’s related to the LTE antenna, but Apple admitted in the Keynote the Watch screen is the antenna.
It’s because in many parts of the world, people won’t buy expensive things unless there is some way for people to know you spent a lot of money and have the newest thing. I hate the red dot too. Already ordered my WatchDots.
There was a post I saw recently, that I thought Gruber linked to but I can't find it anymore, about how Apple's strategy of taking old phones and selling them as the lower tier models is great because it means people can buy those phones and nobody can tell that they bought a lower-tier phone (because it looks like they could have just bought the top-tier phone last year and not gotten around to upgrading yet). This was also used to explain why the 5C was apparently a flop, because it was immediately obvious to anybody that a 5C owner bought the cheap phone.
Status symbols are important.